-LRB- CNN -RRB- -- If you 're still querying any economic freeze between Russia and the West , digest this line from VTB bank the day Europe 's sanctions took effect : The European Union `` have gone against their own interests to do the bidding of their senior colleagues from across the ocean , '' the Russian financial giant said .

That 's a publicly-traded , Western-style bank bluntly calling European governments lapdogs of the U.S. It 's not a statement likely to win Western business in the future .

To be clear , these sanctions could never have been agreed by the divided , 28-nation bloc if 298 people had not been blown out of the sky over Ukraine .

This is an unparalleled precedent set by the EU , a group that hardly ever agrees on anything of substance . It has now taken steps that will harm its own economy in order to stand up to Russia .

The sanctions are tough , but have holes . France , for example , can still deliver a pre-paid Mistral-class warship to Russia . And the European branches of Russia 's big banks can still operate as normal .

But European companies are suffering . Adidas is closing stores in Russia in anticipation of deteriorating sales . Volkswagen and Renault have already noted a slowdown that pre-dates the sanctions . Industrial and engineering giant Siemens has said it sees a `` serious risk '' to European growth as a result of the sanctions .

These companies are not complaining and are not taking sides . They are doing due diligence and telling their shareholders the rules have changed and they expect an adverse impact .

In London , there is debate as to whether the city will suffer . Luxury homes , car sales , art and wine investment , private school enrollment and football teams have all benefited from Russian investments .

I believe the city could see upside . The Financial Times has reported the numbers of Russians putting their children into posh private schools is soaring . The Times has reported oligarchs are contemplating suing the EU or the individual governments to remove them from sanctions lists , and the best place for that is London 's High Court . Such cases will generate significant fees for London 's lawyers and public relations firms .

However , Russian firms contemplating listing on the London Stock Exchange may pause , out of caution investors could shy away .

I do wonder if changing sentiment will generate the most long-term pain between Europe and Russia . More sectors could be hit as financiers fear future sanctions and retaliation from Moscow , deals could dry up and finance could flee . That , in turn , could put a chill on European firms doing deals in Russia even if they are is not impacted by sanctions .

An economic cold wind , if not war , is certainly blowing through the financial capitals of Europe .

Read more : Europe hits Russia 's biggest banks

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The European Union introduced a new round of sanctions against Russia this week

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Jim Boulden says MH17 disaster forced the EU to reach agreement on the sanctions

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EU has now taken steps that will harm its own economy in order to stand up to Russia , he writes